which is better?

[rulingdong]

I have several credit accounts with balances. I have been paying them off as much as I could. Which is better? Should I pay off all the balances to zero(and after that, keep using the cards and pay off in full on next bill), or leave about 30%? What is better for credit rating?

[94B]

Originally Posted by rulingdong

I have several credit accounts with balances. I have been paying them off as much as I could. Which is better? Should I pay off all the balances to zero(and after that, keep using the cards and pay off in full on next bill), or leave about 30%? What is better for credit rating?

My advice is to ALWAYS PIF(why pay interest to your creditors). But if you can't PIF for whatever reason, then keep the balances low as possible.

Generally speaking, FICO likes a "mix" of credit (i.e. revolving accounts, installment accounts, store cards).Keeping utilization down, paying your bills on time and giving your cards time to age will most definitely help increase your scores over time.